Indonesia's Poor Population Grows, Sri Mulyani: Poverty Rate Drops to 9.03%

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November 13, 2024 | 05:07 pm

TEMPO.CO, Jakarta - Finance Minister Sri Mulyani Indrawati said the poor population in Indonesia has grown in 2024, reaching 25.22 million across the country. This is higher than the pre-pandemic number of poor population in Indonesia, which amounted to 25.14 million people.

"Based on the number, it is indeed 25.22 million people since Indonesia experiences population growth from 2019 to 2024,” she said in a working meeting with the House of Representatives (DPR) on Wednesday, November 13, 2024.

Sri Mulyani, however, maintained that percentage-wise, the poverty rate in Indonesia has lowered to 9.03 percent, better than last year’s 9.36 percent and 9.41 percent in 2019. 

"This indicates an improvement, we have returned to below the pre-pandemic level," she stated, adding that income inequality also dropped this year. 

Indonesia’s Gini Ratio Index, she said, is the lowest in the last decade at 0.379. “Our Gini coefficient has started to improve,” said the minister. 

Earlier, economist from the Bright Institute, Awalil Rizky, said Indonesian people are currently “too poor,” forcing them to work because there is minimal chance of survival while unemployed.

This, according to Awalil, is evidenced by the increasing number of underemployed individuals, workers in the agricultural sector, and family workers.

Data from Statistics Indonesia (BPS) shows that the number of poor people in Indonesia in March 2024 compared to March 2023 decreased by approximately 0.68 million people, but the poverty line seems to grow.

In March 2024, the Poverty Line is parked at Rp582,932 per capita per month, a 5.9 percent increase compared to the same period in the previous year. 

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